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First Solar Shares Shine Brightly

By:
Lucas Downey
Published: Jun 21, 2024, 18:32 GMT+00:00

Solar technology company First Solar, Inc. (FSLR) is poised to benefit from utility-scale solar growth and favorable macroeconomic conditions.

Nasdaq, FX Empire

In this article:

First Solar develops solar panel technology, and while inflation has affected the industry in general, the company has largely been able to thrive. One thing going in its favor is the growth of solar energy on a utility scale, which has largely been aided by favorable government policies. FSLR also is positioned well for growth because of solar producers’ governmental protections from Chinese competition.

The company is projected to post quarterly per-share earnings of $2.91, which would be a 57.3% jump on the prior year. It’s also expected to generate $1.01 billion in quarterly revenue, a rise of nearly 25% from the year before.

It’s no wonder FSLR shares are up 51% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money Loves First Solar Shares

Institutional volumes reveal plenty. In the last year, FSLR has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in FSLR shares. They reflect our proprietary inflow signal, pushing the stock higher:

Source: www.mapsignals.com

Plenty of industrials names are under accumulation right now. But there’s a powerful fundamental story happening with First Solar.

First Solar Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, FSLR has had strong sales growth and profits:

  • 1-year sales growth rate (+26.7%)
  • Profit margin (+25%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +55.2%.

Now it makes sense why the stock has been powering to new heights. FSLR has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

First Solar has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last two years. The blue bars below show when FSLR was a top pick…and ready to rise higher:

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

First Solar Price Prediction

The FSLR rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in FSLR at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.

About the Author

Lucas Downeycontributor

Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

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